What was old is new again -- sorta
Some of you greybeards on the left side of the Pond might remember the Section 1706 debacle from the middle '80s and '90s. Quickly stated, 1706 sought to remove Section 530 "safe-harbor" protections from "programmers, engineers, analysts, draftsmen1, and other similarly skilled technical workers", who were holding out their shingle as independent contractors. The intent was to try to force these people to become employees of some tech body shop. The effect was to have numerous tech ICs close up shop, as skitterish client firms refused to hire ICs. (1706 put the burden of enforcement on client firms, with threats of coming after the firms themselves for back taxes and penalties.) Put forward and pushed by several large northeastern body shops who were losing business to these pesky onesey-twosey shops, the law was eventually repealed by a filibuster-proof majority of senators, including one of 1706's original sponsors, senator Patrick Moynahan.
To be sure, there are several notable differences between 1706 and the current proposed rulemaking. For example, 1706 went after the putative high end of the workforce (independent engineers and techies), while this endeavor is aimed at protecting the lowest end of the workforce's income earners. And there is ample evidence that "gig workers" are subject to exploitation that wouldn't occur in the era of 1706 (offshoring wasn't as much of a thing back then). However, this is yet another attempt by the gub'mint to force folks away from independent contracting (and the general illusion of "being your own boss") into the clutches of employee-ism, with the concomitant loss of flexibility, and even freedom in some cases.
Regardless of whether this is truly a compassionate move (1706 specifically wasn't), the Law of Unintended Consequences will raise its ugly head, and smite some people. At things generally go, that will be the folks who can least afford to be smitten. One should be careful about what one asks for.
1Draftsmen! Really?!? The general consensus at the time was that that was thrown in there to keep the law from unconstitutionally singling out computer programmers, which was the real target of the law